Heidelberger Druckmaschinen AG
February 09, 2010
Interim Results 9-months figures FY 10Bernhard Schreier, CEO
Dirk Kaliebe, CFO
Andreas Trösch, Head of Investor Relations
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
Highlights Q3 FY 10
2
Highest order intake since five consecutive quarters at € 609 million (+9% yoy)
Best quarterly sales at € 578 million in FY 10 so far
Improved EBIT at € -13 million including increased savings from restructuring program
All restructuring measures on the way. Less than expected program costs result in
positive Special items of € 30 million
Free cash flow again positive at € 3 million
Net debt decreased to € 678 million compared to 12/31/09 at € 729 million
Redemption of convertible bond on Feb 09, 2010 through in August 2009 secured
financing structure
New segmentation from April 1, 2010 strengthens strategic orientation towards
Equipment and Services
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Underlying conditions
4.13.9
1.7
-2.1
2006 2007 2008 2009
source: Global insight (WMM); calendar year
Change of global GDPFigures in percent
Although the print media industry appears to have halted its rapid downward slide,
production figures are still far below those during the period prior to the crisis
Incoming orders remained stable at a low level during H1 FY 10. Then, during the
third quarter, for the first time this financial year a slight upward trend set in
Global economy improved modestly
during the last quarter of CY 09
Nevertheless, global gross domestic
product declined by -2.1 percent in the
crisis year 2009
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
0
200
400
600
800
Q3FY 08/09
Q4 Q1 Q2 Q3FY 09/10
4
Highest order intake since five consecutive quarters
626
978
Incoming Orders Order Backlog
€ million
650
616 617
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Incoming orders by regionChina and Germany with strong business development in Q3 FY10
Figures in € millions
Q3 FY 09 Q4 FY 09 Q1 FY 10 Q2 FY 10 Q3 FY 10 yoy
EMEA 232 223 234 203 254
Eastern Europe 77 30 46 56 70
North America 82 65 59 67 57
Latin America 43 18 26 36 36
Asia / Pacific 126 138 185 172 192
Group 560 474 550 534 609 +9%
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
Figures in € millions
9m FY 09 9m FY 10 Q3 FY 10
Sales 2,211 1,591 -620 578
Total operating performance 2,438 1,546 586
Result of operating activities excl. special items -45 -141 -13
Special items 32 -19 -30
Result of operating activities incl. special items -77 -122 17
Financial result -76 -79 -30
Income before taxes -153 -201 -13
Net loss -119 -158 -39 -11
6
Profit & loss statement Achievements of the cost savings program become increasingly visible
Less than expected program costs result in positive Special items income
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Balance Sheet
Figures in € millions
Assets 12/31/2008 03/31/2009 12/31/2009 Liabilities 12/31/2008 03/31/2009 12/31/2009
Fixed assets 968 1,008 948 Shareholders' equity/minorities 945 796 607
Other assets 2,467 2,233 1,913 Provisions 827 973 901
- thereof inventories 1,211 1,034 924 - thereof provisions for pensions 128 154 209
- thereof receivables from CuFi 277 273 219 Other Liabilities 1,663 1,472 1,353
- thereof trade receivables 436 451 303 - thereof financial liabilities 822 760 815
Total assets 3,435 3,241 2,861 Total liabilities 3,435 3,241 2,861
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
0
500
1.000
1.500
12/31/2008 03/31/2009 12/31/2009
Net Working Capital
thereof: Inventories
8
Development of Net Working Capital
€ million
1,307
1,212
999
1,211
924
NWC: The sum of inventories and trade receivables less trade payables as well as advance payments
1,034
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Cash Flow statement
Figures in € millions
9m FY 09 9m FY 10 Q3 FY 10
Cash flow -71 -134 18
Other operating changes -66 132 -16
- thereof: Inventories -214 94 38
- thereof: Trade receivables/ trade payables 115 104 -24
Inflow/Outflow of funds from operating activities -137 -2 1
Inflow/Outflow of funds from investment activity -140 -13 1
Free cash flow -277 -15 3
Prior year -4
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Lower net debt compared to prior year
*
* Redemption of convertible bond on Feb 09, 2010 through in August 2009 secured financing structure
Figures in € millions
12/31/2008 03/31/2009 12/31/2009
Convertible bond 302 304 310
Liabilities to banks and private placement 494 433 479
- Cash and cash equivalents -67 -80 -111
Net debt 729 657 678
Provision for pensions 128 154 209
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
PostpressPress
Heidelberg ServicesHeidelberg Equipment
11
New segmentation strengthens strategic orientation
Valid from April 1st, 2010
Systemservice
Heidelberg Spare Parts
Saphira Consumables
Prinect Software
CtP
Business Consultancy
Remarketed Equipment
Press
Postpress Commercial
Postpress Packaging
Linoprint
Financing Partners
Export Credit Insurance
Heidelberg Print Finance
Financial ServicesService
New
se
gm
en
tatio
nO
ld s
eg
me
nta
tio
n
Financial Services
Equipment ServiceEquipment
Stephan Plenz Marcel Kießling Dirk Kaliebe
Bernhard Schreier (CEO)
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Outlook Financial Year 2009/2010
Following the developments so far in the current financial year, we expect the sales of
the Heidelberg Group in the financial year 2009/2010 to once again fall short of
financial year 2008/2009. Due to this low volume of sales, we continue to project a
result of operating activities excluding special items of between € -110 million and
€ -150 million. Heidelberg is in the process of implementing all cost reduction
measures. In addition, the agreements that have been established make it possible for
us to continue to flexibly adapt staff costs.
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
Heidelberger Druckmaschinen AG
February 09, 2010
Interim Results 9-months figures FY 10Bernhard Schreier, CEO
Dirk Kaliebe, CFO
Andreas Trösch, Head of Investor Relations
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
0
200
400
600
800
1000
1200
1400
Q1 FY 03/04
Q2 Q3 Q4 Q1 FY 04/05
Q2 Q3 Q4 Q1 FY 05/06
Q2 Q3 Q4 Q1 FY 06/07
Q2 Q3 Q4 Q1 FY 07/08
Q2 Q3 Q4 Q1 FY 08/09
Q2 Q3 Q4 Q1 FY 09/10
Q2 Q3
€ million
810 880
900
960
Incoming Orders Order Backlog
910
1,025
1,240
1,3191,280
1,196
626
940
530
978
14
drupa 2004 drupa 2008
Highest order intake since five consecutive quarters
IPEX 2006
609
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Improvement program of €400 million almost completed by year end FY10
Less than expected program costs result in positive Special items income
Main lever
Target improvement
by FY 11
Improvement
Program
R&D expendituresReduce R&D expenditures by further improving
efficiency of R&D processes
Restructure
Postpress
Restructure Postpress by bundling of functions,
production relocation and site restructuring
Reduce structural
cost in central
functions
Reduce all structural cost
– operating expenses and personnel cost –
in central functions
Globalize and
optimize production &
purchasing
Use cost advantages of low cost countries, reduce FX
exposure and product cost
€70 million
€25 million
€105 million
€50 million
€400 millionSum of improvements
Reduce structural
cost in all markets
Restructuring of regions, expand growth
businesses, improving efficiency
Reduce structural
cost in Production
Improve process efficiency and logistics, reduce
administrative functions €65 million
€85 million
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Incoming orders by region 9m FY10Previous year including drupa trade fair
Positive order development in Asia Pacific in the current quarter (+52% yoy)
EMEA41% (48%)
Asia Pacific32% (21%)
Latin America6% (6%)
Eastern Europe10% (13%)
North America11% (12%)
Order intake
€ 1,693 million
(€ 2,432 million)
Previous year‘s 9m figures in brackets
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Divisional view Q3 FY 09 vs. Q3 FY 10
* before special items
Figures in € millions Sales EBIT
Q3 FY 09 Q3 FY 10 Q3 FY 09 Q3 FY 10
Press 646 517 4 -9
Postpress 97 56 -6 -6
Financial Services 7 5 2 2
Group 750 578 0 -13
*
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Development of Net Working Capital
Figures in € millions
12/31/2008 03/31/2009 12/31/2009
Inventories 1,211 1,034 924
+ Trade receivables 436 451 303
./.Trade payables 244 182 149
./.Payments on account 96 91 78
1,307 1,212 999
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Ongoing reduction of customer financing achieved despite
difficult economical and financing situation
277 273 253 244219
130 127126
115
111
0
100
200
300
400
500
12/31/2008 03/31/2009 06/30/2009 09/30/2009 12/31/2009
EUR million
Contingent Liabilities due to Customer Financing
Receivables from Customer Financing
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Financial Calendar 2009/2010
Event Date
Release of the Preliminary Figures FY10 May 11, 2010
Annual Analysts' and Investor's Conference June 15, 2010
Annual General Meeting July 29, 2010
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Investor Relations
Andreas Trösch
Head of Investor Relations
+ 49 (0) 6221 92-6020
+ 49 (0) 6221 92-5189(Fax)
Heidelberger Druckmaschinen AG
Kurfuersten-Anlage 52-60
69115 Heidelberg
Germany
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28. Januar 2008Interim Results 9-months figures FY 10 February 09, 2010
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Disclaimer
Any forward-looking statements contained in this presentation represent our
best judgment as to what will occur in the future.
The Company's actual results could differ materially from those presented and
will depend on a number of competitive and economic factors, some of
which will be outside the control of the Company.